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Edgerron Company is able to produce two products, G and B, with the same machine in its factory. The following information is available Selling price
Edgerron Company is able to produce two products, G and B, with the same machine in its factory. The following information is available Selling price per unit Variable costs per unit Product G S 240 105 Product B S 270 182 Contribution margin per unit S 135 S 108 Machine hours to produce 1 unit Maximum unit sales per month 0.4 hours 850 units 1.0 hours 250 units The company presently operates the machine for a single eight-hour shift for 22 working days each month. Management is thinking about operating the machine for two shifts, which wl increase its productivity by another eight hours per day for 22 days per month. This change would require 313,500 additional fixed costs per month. (Round hours per unit answers to 1 decimal place. Enter operating losses, if any, as negative values.)
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